A banking network built for resilience
Deposits at a single bank are entitled to only $250K in FDIC insurance coverage. This limit exposes depositors in excess of $250K to risk in the event of a bank failure.
Networked banking provides a way to automatically spread deposits across a network of banks, providing up to $250K additional FDIC insurance at each bank.
AngelList’s banking partners work with companies to distribute deposits across a network of banks, including PNC and Capital One. These programs automatically create new accounts in your fund’s name at each partner bank. Because each account is entitled to up to $250K in FDIC insurance coverage, deposits made through AngelList’s networked banking can receive additional FDIC coverage.
As of March 14, 2023, your deposits are eligible for up to $2.75M in FDIC coverage via AngelList’s networked banking partners, including PNC and Capital One. We are rapidly expanding this network of FDIC-insured banks to scale with your needs and cover larger balances. If your fund balance needs more coverage, please reach out to your account manager.
Suppose you raise a $30M fund that you expect to deploy over 3 years. You plan to do quarterly capital calls. This means that you will call $2.5M in capital each quarter.
